FAIRFIELD CONNECTICUT BUILDING EXPERT
DIRECTORY AND CAPABILITIES

Late Notice Bars Insured's Claim for Loss Caused by Hurricane

October 24, 2022 — Tred R. Eyerly - Insurance Law Hawaii
The court found that the failure to provide prompt notice of damage caused by Hurricane Irma barred plaintiff's claim for coverage. Garcia v. Scottsdale Ins. Co., 2022 U.S. Dist. LEXIS 149312 (S.D. Fla. Aug. 18, 2022). On September 10, 2017, plaintiff's property allegedly suffered damage due to Hurricane Irma. Shortly thereafter, plaintiff observed a water stain on the ceiling of the bedroom which was painted over. She did not take any pictures of the water stain before repainting. Plaintiff reported to her experts that she observed other water stains in various areas in 2017, 2018 and 2019, and that she painted over them each time. She again observed water stains in several rooms in 2020, at which time she became aware of the magnitude of the problem and went to an attorney. Plaintiff did not report her claim until May 27, 2020. Read the court decision
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Reprinted courtesy of Tred R. Eyerly, Damon Key Leong Kupchak Hastert
Mr. Eyerly may be contacted at te@hawaiilawyer.com

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Delaware Supreme Court Choice of Law Ruling Vacates a $13.7 Million Verdict Against Travelers

August 07, 2018 — Gregory Capps & Zachery Roth - White and Williams LLP
On July 16, 2018, the Delaware Supreme Court held in Travelers Indemnity Company v. CNH Industrial America, LLC, No. 420, 2017 (Del. Jul. 16, 2018), that a court’s choice of law inquiry in an insurance coverage dispute should focus on the contacts most relevant to the insurance contract rather than the location of the underlying claims. In Travelers, CNH Industrial America, LLC (CNH), sought coverage for asbestos liabilities associated with J.I. Case, Inc., a subsidiary it had acquired, under policies issued to J.I. Case and its former parent company, Tenneco, Inc. The issue before the Delaware Supreme Court was whether the anti-assignment clause in three Travelers policies issued to Tenneco, Inc. precluded the assignment of the policies to CNH. The validity of the assignment turned on which state’s law governed the dispute. (Under Wisconsin law, the parties agreed that the assignment was valid, while under Texas law, the parties agreed the assignment was invalid.) Reprinted courtesy of Gregory Capps, White and Williams LLP and Zachery Roth, White and Williams LLP Mr. Capps may be contacted at cappsg@whiteandwilliams.com Mr. Roth may be contacted at rothz@whiteandwilliams.com Read the court decision
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Reprinted courtesy of

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Measure of Damages in Negligent Procurement of Surety Bonds / Insurance

September 04, 2018 — David Adelstein - Florida Construction Legal Updates
My broker procured the wrong insurance and I am exposed to a loss. My broker failed to procure proper insurance and I am exposed to a loss. “Where the parties enter into an agreement to procure insurance and there is a negligent failure to do so, an insurance broker may be liable for damages.” The Lexington Club Community Association, Inc. v. Love Madison, Inc., 43 Fla.L.Weekly D1860a (Fla. 4th DCA 2018). The proper measure of damages in a negligent procurement of insurance claim is “what would have been covered had the insurance been properly obtained.” Id. quoting Gelsomino v. ACE Am. Ins. Co., 207 So.3d 288, 292 (Fla. 4th DCA 2016). This measure of damages in a negligent procurement of insurance claim is important because it is the measure of damages that dictates recoverable damages under this claim. Read the court decision
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Reprinted courtesy of David Adelstein, Kirwin Norris
Mr. Adelstein may be contacted at dma@kirwinnorris.com

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Courthouse Reporter Series: Nebraska Court of Appeals Vacates Arbitration Award for Misconduct

November 18, 2024 — Brendan J. Witry - The Dispute Resolver
Vacating an arbitration award is often seen as an uphill battle. Indeed, the U.S. Supreme Court has stated that “courts may only vacate an arbitrator’s decision ‘only in very unusual circumstances.’” Oxford Health Plans, LLC v. Sutter, 569 U.S. 564, 568 (2013). The Federal Arbitration Act provides limited grounds to seek the vacatur of an arbitration award. In Lund-Ross Constructors v. Duke of Omaga, LLC, ___ N.W.3d ___, 33 Neb.App.73, the Nebraska Court of Appeals found that an arbitrator’s conduct warranted the partial vacatur of the award, which granted relief to a subcontractor who filed a counterclaim after the arbitration hearing had closed. Lund-Ross contracted with Duke of Omaha to build an apartment complex in Omaha. Lund-Ross, in turn, sub-contracted with A Raymond Plumbing. Following completion of the building, Owner withheld payment from Lund-Ross, who in turn, withheld payment from Raymond. Both Lund-Ross and Raymond filed mechanics liens and initiated suits; Raymond’s suit ultimately was dismissed for want of prosecution. Lund-Ross proceeded to arbitration with Owner, naming Raymond as a respondent. Raymond did not participate in the arbitration as a claimant at the time of the hearing. Read the court decision
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Reprinted courtesy of Brendan J. Witry, Laurie & Brennan LLP
Mr. Witry may be contacted at bwitry@lauriebrennan.com

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A Quick Virginia Mechanic’s Lien Timing Refresher

February 27, 2023 — Christopher G. Hill - Construction Law Musings
As those who read Construction Law Musings on a regular basis know, mechanic’s liens are a big part of my construction law practice. These tricky and strictly enforced statutory collection tools are very powerful when correctly recorded and utterly useless if they aren’t recorded in a timely fashion and with the correct information contained within them. Couple that fact with recent changes to the mechanic’s lien form in 2019, and I feel the need to give a quick refresher. If you’ve kept up with Musings, you know about the two big numbers for Virginia mechanic’s lien timing, 90 and 150. These should be kept in mind for every general contractor, subcontractor, or supplier on any construction project in Virginia. Virginia Code Section 43-4 sets out the reasons to keep these numbers in mind. The code section sets out why you need to know these numbers. The 90 refers to the deadline for recording a lien. This number affects the right to a lien in Virginia. In order to preserve lien rights, a construction contractor must record the lien within ninety days of the last day of the last month in which the last work was performed or no later than ninety days from the date of completion of the project or other termination of work. The short version is that most general contractors on commercial projects have 90 days from the last work in which to record their lien and most subcontractors have 90 days from the last day of the last month of work. However, the best practice is to simply calculate the 90 days from the last work performed or material supplied to avoid issues and arguments between attorneys regarding timing. Read the court decision
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Reprinted courtesy of The Law Office of Christopher G. Hill
Mr. Hill may be contacted at chrisghill@constructionlawva.com

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Construction Litigation Roundup: “Tender Is the Fight”

August 21, 2023 — Daniel Lund III - Lexology
A performance bond surety for a defaulted general contractor principal found itself with a recalcitrant owner which refused to accept the tender of a replacement general contractor to complete a $3,000,000 construction project in Monmouth County, New Jersey. Even before the original GC was off the job, the surety – having been notified of the contractor’s difficulties in performing the work – stepped in promptly, providing assistance in the form of an additional contractor. At the surety’s behest, that additional contractor remained on the project (focused principally at the time on roof repairs) after the initial GC was placed in default and terminated. Eventually, the surety, by draft tender agreement issued to the owner, offered that the additional contractor serve as the completion contractor for the entire project (not simply the roof repairs), a proposal rejected by the owner – which had never cared for the additional contractor. Instead, the owner proposed its own completion contractor and, in connection with that offer, demanded a sum of money ($1.6 million) from the surety – a proposal the surety rejected: “[Owner] cannot choose whatever contractor it wants to complete the work and then charge the costs to [the surety]." Read the court decision
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Reprinted courtesy of Daniel Lund III, Phelps
Mr. Lund may be contacted at daniel.lund@phelps.com

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Traub Lieberman Partner Lisa M. Rolle Obtains Summary Judgment in Favor of Defendant

April 19, 2021 — Lisa M. Rolle - Traub Lieberman
Traub Lieberman Partner Lisa M. Rolle obtained summary judgment in favor of defendant SRI Fire Sprinkler, LLC, a family-owned and operated fire sprinkler company which generally provides fire sprinkler installation, inspection, and maintenance services throughout the Northeast and New England. The judgment was determined pursuant to CPLR 3211(a)(5) on the grounds that Philadelphia Indemnity Insurance Company’s (Plaintiff) negligent construction claim accrued on the date when work was completed at the premises, not on the date of the incident as alleged in the Plaintiff’s complaint. In the underlying subrogation action, the Plaintiff commenced the action in subrogation of its insured, Bet Am Shalom Synagogue (Bet Am), to recover damages in excess of $173,390.86 which it allegedly paid to Bet Am for water damage cleanup and remodeling after certain sprinkler pipes froze and burst in the recently constructed wing of the Westchester synagogue on January 1, 2019 and January 7, 2019. The Plaintiff alleged that its subrogor, Bet Am, sustained interior water damage on the first floor and basement levels of the premises, including the carpets, drywall, insulation, bathroom, kitchen and appliances, dining room, hallways, closets, basement storage rooms and supplies, and basement classrooms. Read the court decision
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Reprinted courtesy of Lisa M. Rolle, Traub Lieberman
Ms. Rolle may be contacted at lrolle@tlsslaw.com

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Consumer Confidence in U.S. Increases More Than Forecast

August 26, 2015 — Victoria Stilwell – Bloomberg
Consumer confidence climbed more than forecast in August to the second-highest level in eight years as Americans held more favorable views of the labor market. The Conference Board’s index rose to 101.5 this month from a revised July reading of 91, the New York-based private research group said Tuesday. The gauge exceeded the highest estimate in a Bloomberg survey of economists, whose median forecast was 93.4. The cutoff date for the survey was Aug. 13, before the recent stock-market sell-off. Americans remained emboldened by job gains, cheaper gasoline and rising home prices in the period leading up to a slump in stock prices as global financial markets took a turn for the worse. The risk for the economy is that households will reassess their spending plans as they wait for evidence the U.S. expansion can withstand such shocks. Read the court decision
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Reprinted courtesy of Victoria Stilwell, Bloomberg

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